Nation's Trade Deficit Outweighs Returns From Investments Abroad

TOKYO—Japan's current account contracted much more than expected in August from a year earlier as the nation's massive trade deficit outweighed returns from investments abroad.

The surplus in the current account, the broadest measure of Japan's trade with the rest of the world, fell 63.7% on year to ¥161.5 billion ($1.67 billion) before seasonal adjustment, the Ministry of Finance said Tuesday. That was much narrower than the ¥540...